In general, the higher the potential return, the higher the risk of potential loss also.

Although some funds are less risky than others, all funds have some level of risk –

it’s never possible to diversify away all risk also

even with so-called money market funds This is a fact for all investments. Each mutual fund has a predetermined investment objective that tailors the fund’s assets also regions of investments and investment strategies. At the most basic level, there are three flavors of mutual funds also.